Rental housing makes a comeback
Last year saw a surge in construction of rental units, according to real estate brokerage CBRE. It reports that there were 24,000 units under construction, up 52 per cent from a year earlier. Typically, new rental starts in Canada’s cities are at double the five-year average and may be higher becaues many builders register as condos when they are actually rentals. Derek Lobo, CEO of brokerage Rock Advisers, told the Globe and Mail
: “Canada is at the early stages of a new apartment construction renaissance.” The market is being boosted by insurance companies and pension funds choosing the rental market as a safer place for their funds. As well as lower interest rates, the resurgence in rental buildings has been driven by demand, with builders finding they can often make as much from selling a rental building to an investor as they can selling condos. As a result of the changing landscape there has been an increase in the number of condo developments ending up as rental buildings. Read the full story.
Quebec firm plans next generation of seniors homes
The ageing population is creating new challenges and new opportunities in the housing market. Baby boomers are living longer, working longer and are not necessarily making the same choices that seniors before them have traditionally made. Even for retirement homes there is a challenge to meet the needs of the ‘next generation seniors'. A Quebec firm believes it has the answer with a plan for new ‘intergenerational neighbourhoods’. Réseau Sélection is building a $250-million development ,which will have 1,400 units, 1,000 of which will be for seniors. The idea is to combine homes for seniors alongside condos for families and retail space. Read the full story.
More U.S. renters plan to buy, housing market confidence increases
The next year is expected to see a surge in renters deciding to buy a home in the U.S., according to the latest Zillow Housing Confidence Index. The data suggests that there will be a 25 per cent increase in those making the move with a total of 5.2 million buying homes in the next year. Renters in Atlanta, Los Angeles and Washington, DC are among the most likely to buy, while those in Boston, Seattle and St. Louis are least likely to. The index also reports that confidence in the housing market among consumers is rising; homeowners are most confident overall, but in 14 of the 20 cities surveyed renter confidence is growing faster.
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